How much should I rent 1/2 of a duplex for? (Poll - please contribute)

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How much should I rent 1/2 of a duplex for? (Poll - please contribute)

Joseph Macken
Member since 2020 · 1 post · 0 votes

Hi BP Community! 
I'm kind of a newbie here, and had a quick question regarding how to price duplex units. 
Here's the relevant info: 
- It's a top bottom duplex, with very similar ±1200 sq ft floor plans, in an older neighborhood of SFHs and small (2-4) multi-unit buildings.
- The lower unit is a 2/1
- The top unit is about 5% bigger, and has an extra bedroom making it a 3/1.

The lower unit is rented for $1,000.
So the question is, how much would you rent the top unit for? 

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Richard F.
Honolulu, HI · Member since 2008 · 3k+ posts · 2k+ votes
3y
Aloha,

It doesn't matter too much what the 2 BR is currently rented for; what matters is current market rates for 3 BR's. Check comparables by size, finish, location, to see what the market is today. You did not indicate where this is located, so impossible to get localized guesstimates.
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  • Bjorn AhlbladPro Member
    Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
    3y

    Providing the construction is zoned and permitted, If the upper unit has 3 proper bedrooms. Egress, closets, etc it is worth a little more. Maybe 100/mo more.

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  • Michele FischerPro Member
    Rental Property Investor · Seattle, WA · Member since 2013 · 2k+ posts · 1k+ votes
    3y

    I would look to see what other three bedrooms are going for in your neighborhood. Look on Criagslist and other places where landlords in your area advertise. A duplex is worth a bit more than a similar apartment, but a bit less than a similar SFH. I also add or subtract a bit if the square footage, bathroom count, storage, garage, laundry, upgrades are different from what others are offering. I have some complicated comparisons but I am an Excel nerd and like to watch the neighborhood rental offerings closely year round. If a three bedroom is only slightly bigger than a two bedroom, either the 3/1 is cramped or the 2/1 is spacious and either should be adjusted accordingly.

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  • Bruce WoodruffPro Member
    Contractor/Investor/Consultant · San Diego / Phoenix · Member since 2021 · 12k+ posts · 15k+ votes
    3y

    I would get $1200 mo for that extra bedroom....!

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  • Richard F.
    Honolulu, HI · Member since 2008 · 3k+ posts · 2k+ votes
    3y
    Aloha,

    It doesn't matter too much what the 2 BR is currently rented for; what matters is current market rates for 3 BR's. Check comparables by size, finish, location, to see what the market is today. You did not indicate where this is located, so impossible to get localized guesstimates.
    1Reply
  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    3y
    Quote from @Joseph Macken:

    Welcome to the BiggerPockets forums!

    I'll give you $500 a month for it right now!

    Seriously, study the market to determine the value. Ground-level units rent for slightly more because of easy access and lack of stairs, but an upstairs unit should be pretty close. Look at other 3bed/1bath units in the market of comparable size, quality, etc. Price your unit accordingly.

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  • Julien J.
    Investor · CO · Member since 2016 · 757 posts · 1k+ votes
    3y

    Welcome!

    You'd have to do market research for you area. I'd suggest:

    -Rentometer

    -Zillow/redfin

    -Facebook

    I'd discount the rent for the following: completely or partially underground and poor lighting.

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